KSA Uses Player Data to Study Risky Gambling Behavior
The Dutch Gaming Authority (KSA) has carried out a detailed analysis of pseudonymized player data to identify key indicators of risky gambling behavior. This research is designed to not only help the regulator assess gambling operators but also provide insights that go further than monitoring large financial losses.
Indicators of Risky Gambling Behavior
While large monetary losses are often associated with gambling problems, other important factors can signal risky behavior. Extended playtime, increased gambling frequency, or gambling during unusual hours, such as late at night, are all indicators that may highlight at-risk players. These patterns, when tracked, offer a better understanding of problem gambling.
Licensed gambling providers in the Netherlands are required to store pseudonymized player and transaction data in a centralized data vault (CDB). By analyzing this information, the KSA hopes to better understand risky gambling behaviors, evaluate the effectiveness of interventions offered by providers, and compare player patterns across different operators.
The study examined several key behaviors linked to problem gambling, including high gambling intensity (such as frequent sessions or significant losses), increased spending or playtime over time, and repeated deposits within short periods. Additionally, the analysis looked at the difference in risk levels between types of games, such as casino games and sports betting, as well as the actions operators took to mitigate these risks.
Summary of key findings:
- Indicators such as gambling intensity, loss of control, and increases in gambling over time are used to assess risk. These include behaviors like frequent deposits, late-night play, and increasing play frequency.
- Most players do not lose large sums. However, a small proportion (1% of players) accounts for a significant share (43%) of Gross Gaming Revenue (GGR), highlighting dependency on high-spending players.
- Risky behavior markers vary by game type. For instance, indicators for casino games differ from sports betting (e.g., losses, playing frequency, and nighttime play).
- Operators report interventions inconsistently, making it difficult to assess thresholds and effectiveness of responsible gambling measures.
- Repeated and frequent deposits or failure to stick to budgets are strong indicators of loss of control among players.
- High-rollers are distinct from over-spenders, who may gamble beyond their means despite not being at the high end of the loss distribution.
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Nightime Play Linked to Risky Behavior
One noteworthy finding was the link between nighttime gambling and risky behavior. The analysis showed that players tend to engage more with casino games than sports betting during late-night hours. This could suggest that casino games are potentially more damaging than sports betting, or alternatively, that placing sports bets at night may be a bigger deviation from normal behavior, making it a more precise indicator of potential gambling problems.
Building on these findings, the KSA is now considering how to use this research to improve its oversight processes and better identify problem players. The regulator also hopes to explore additional applications for the research, which could improve the overall supervision of the gambling industry and help address issues of problem gambling more effectively.
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